The extent to which a company's net assets cover its debt obligations and/or preferred stock. This ratio is used to calculate a company's ability to cover all liabilities with existing assets to determine a company's financial health. ( (Book Value Assets - Intangible Assets) - (Current Liabilities - Short Term Debt Obligations) ) / Total Debt Outstanding
Related information about asset coverage:
- Asset Coverage Ratio Definition | Investopedia
A test that determines a company's ability to cover debt obligations with its assets after all liabilities have been satisfied. It is calculated as the following:
- Asset Coverage Ratio
Asset coverage ratio measures the ability of a company to cover its debt obligations with its assets. The ratio tells how much of the assets of a company will be ...
- Asset Coverage - Financial Dictionary - The Free Dictionary
The extent to which a company can maintain operations at its level of debt. One of the most common ways to measure asset coverage is the asset coverage ratio ...
- What is asset coverage? definition and meaning - InvestorWords.com
Definition of asset coverage: The extent to which a company's net assets cover its debt obligations and/or preferred stock. This ratio is used to calculate a ...
- What is asset coverage? - BusinessDictionary.com
Definition of asset coverage: Extent to which an entity's tangible assets are adequate to meet its liabilities. Formula: (Total assets - Intangible assets - Current ...
- asset coverage Definition | Business Dictionaries from AllBusiness ...
Asset coverage is calculated as follows: from assets at their total book value or liquidation value, subtract intangible assets, current liabilities, and all obligations ...
- What is Asset Coverage?
Brief and Straightforward Guide: What is Asset Coverage?
- Asset Coverage Ratios: What They Are and What They Mean
a:1:{s:5:"value";s:328:"Asset coverage ratio uses and definitions are discussed, including minimum asset coverage ratios and fixed asset coverage ratios.